India - Romania to boost trade to 1.5 bn



Recently the Director General, Bilateral Relations, Ministry of Foreign Affairs, Romania, Mr. Gheorghe Magheru visited India. This was the occasion THE BLUE MOON Editor, Amit Mittal got an opportunity to have a chat with the Romanian Ambassador to India, Ms. Valerica Epure on the growing ties between the two countries. Some excerpts :

What is the status of bilateral cooperation between India and Romania ?

Back in 2006, during the visit in India of the Romanian President, the two sides set up the main pillars of the bilateral cooperation between Romania and India, in all fields of activity, including the economic sector, agreeing of a target for the bilateral trade exchanges of 1 billion Dollars, until 2010. We do not have the final results for 2010 but in 2009 we came very close to this figure. During the recent visit in India of the Secretary of State in the Romanian Ministry of Economy and Commerce, it was discussed about the possibility to move this target to the 1,5 billion Dollars for the next 3-4 years.

Which are the sectors that Romania is keen to take up in India?

Romania continues to be interested in the oil and energy industry in India. In 2010 there were Romanian companies expressing interest in investing in India's energy sector; and as we speak, there are also ongoing contacts between Romanian and Indian companies with a view of concluding contracts in this field. I would also like to add that, on many occasions, Romanian experts are present in India, through companies registered in other countries or working with joint ventures between Romanian and foreign business partners.

Is there any move for a free trade agreement with India?

Romania is a member of the European Union and from this position looks forward to the concluding of the Free Trade Agreement between EU and India, which will be in itself an instrument of promoting bilateral investments. At the same time, in Romania, an important role for business is played by the existing flat tax; also, the Romanian counties can provide incentives, including tax waiver, against fulfilling certain criteria. I would like also to mention that the Romanian companies (including if they enter joint ventures with foreign partners) can apply for funds from the EU. The fund available for Romania, until 2013, is about 30,5 billion Euros, aimed at financing projects in infrastructure, regional development, SME development, environment protection, green energy production, etc.

Are there investments from India in to Romania?

There are important Indian investments in Romania, such as Ranbaxy, Tata International, Conros Steel Pvt, Wipro, Genpact, Gujarat Heavy Chemicals, Asmita Constructions, etc. Currently we are working on the program for two important Indian companies interested to invest in Romania in such sectors as agricultural machinery, aviation and services. Although Mittal Steel is not an Indian company, many will list it amongst the biggest Indian investments in Romania, which is partially true, since the owners are so very close to India.

What are the other sectors where bilateral cooperation could get a boost?

There are as well good opportunities for the development of bilateral cooperation in the defense industry, especially in aircraft industry and maintenance. Our Embassy in India is instructed to document the feasibility of reopening the direct flights between Romania and India; we indeed consider that the establishment of a direct flight between New Delhi and Bucharest is going to be a value added measure in promoting the bilateral economic exchanges.

Is there a good number of travelers from India to Romania?

We register yearly, a good number of Indian citizens who travel to Romania, mainly on business but also as tourists. For the business trips to Romania, we rarely have any complaints. Our Embassy in India held numerous meetings with the business associations and chambers of commerce from India in order to explain the provisions of the law and how to fulfill the Romanian law requirements.

 All pictures and text are Copyright of THE BLUE MOON. No material should be used without written consent of the owner.
Designed & Developed by Yah Infotech